The Free Lawyers organisation has raised concerns that Sri Lanka Customs is calculating import values using an exchange rate higher than the prevailing market rate, warning that the gap inflates duties and ultimately consumer prices.
In a statement, the group said Customs had announced via gazette that all transactions from 25 to 29 May 2026 would be assessed at a rate of Rs. 351.17 per US dollar. It said this remained above the nominal exchange rate currently reflected by the Central Bank and commercial banks.
Free Lawyers alleged that while the Central Bank is attempting to hold the dollar at a lower level through interbank interventions, Customs — one of the government’s highest revenue-generating institutions — continues to apply a higher rate when valuing imports. The organisation warned the higher Customs rate could directly raise the prices of imported goods and eventually burden consumers, and called on authorities to align the gazette rate with the lower market rate.
The complaint comes as the Central Bank works to stabilise the rupee after it touched a three-year low against the dollar, prompting the recent 100-basis-point increase in the policy rate. Importers have already warned that a weaker rupee is pushing up the cost of essentials such as sugar, dhal and rice.
